While the vast majority of my research involves growth stocks, I do keep an eye out for potential turnaround situations. Why? Because historically, about one out of every five or six big winners will be a turnaround situation—especially in so-so economic times. (In the late 1990s, by contrast, almost all the big winners were growth stocks.) So, even though I never, ever (ever!) buy stocks and sectors that are in longer-term downtrends, I do keep an eye on them for signs that they’re turning higher. That leads me to energy and gold stocks.